Gold Price Analysis: XAU/USD pares early gains, turns flat near $1,900


  • Gold struggles to make a decisive move in either direction.
  • Major European equity indexes trade mixed on Tuesday.
  • Eyes on Wall Street, macroeconomic data releases from the US.

For the third straight trading day on Tuesday, the XAU/USD pair is moving sideways above $1,900 as participants wait for the next significant catalyst. After climbing to a daily high of $1,910 earlier in the day, the pair lost its traction and was last seen trading virtually unchanged on the day at $1,902.

Traders remain in a cautious mood

At the start of the week, safe-haven flows dominated financial markets and caused global equity indexes to suffer heavy losses. On Tuesday, major European equity indexes trade mixed, failing to provide a fresh insight into investors' risk perception.

The sharp upsurge witnessed in coronavirus cases in Europe, the uncertainty surrounding Brexit talks and the upcoming presidential election in the US seem to be causing participants to remain on the sidelines.

On the other hand, the greenback is consolidating its gains after outperforming its rivals on Monday. Later in the session, the Durable Goods Orders and the Conference Board's Consumer Confidence Index data will be featured in the US economic docket.

Meanwhile, investors will keep a close eye on Wall Street. Following Monday's sharp decline, a convincing rebound in US stocks could put the USD under additional pressure and help XAU/USD, once again, turn north. However, unless it makes a daily close above $1,910, the pair's upside is likely to remain limited. 

Technical levels to watch for

XAU/USD

Overview
Today last price 1903.08
Today Daily Change 1.03
Today Daily Change % 0.05
Today daily open 1902.05
 
Trends
Daily SMA20 1902.86
Daily SMA50 1921.41
Daily SMA100 1883.41
Daily SMA200 1763.61
 
Levels
Previous Daily High 1908.66
Previous Daily Low 1891.32
Previous Weekly High 1931.54
Previous Weekly Low 1894.48
Previous Monthly High 1992.42
Previous Monthly Low 1848.82
Daily Fibonacci 38.2% 1902.04
Daily Fibonacci 61.8% 1897.94
Daily Pivot Point S1 1892.69
Daily Pivot Point S2 1883.34
Daily Pivot Point S3 1875.35
Daily Pivot Point R1 1910.03
Daily Pivot Point R2 1918.02
Daily Pivot Point R3 1927.37

 

 

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